Visakhapatnam Port Makes it to Global Top 20 List Riding on Container Performance

Visakhapatnam Port Makes it to Global Top 20 List Riding on Container Performance

Sub: IR

Sec: Int org

Key Highlights:

• Significant Improvement: Visakhapatnam Port leaped from 115th place in 2022 to 19th place in 2023 in the Container Port Performance Index (CPPI).
• Top Performance Metrics:
  • Moves per Crane Hour: 27.5
  • Turnaround Time (TRT): 21.4 hours
  • Minimal Berth Idle Time
• Strong Performance: These metrics indicate high efficiency in handling container ships, significantly influencing customer preference.

Achievements:

• India’s Representation: Nine Indian ports made it to the Global Top 100 in the CPPI 2023.
  • Other Indian Ports in Top 100:
    • Pipavav (41)
    • Kamarajar (47)
    • Cochin (63)
    • Hazira (68)
    • Krishnapatnam (71)
    • Chennai (80)
    • Jawaharlal Nehru (96)
    • Mundra (27) (improved from 48 last year)

Future Goals:

• Expansion Plans: Visakhapatnam Port aims to achieve over a million TEUs for FY 2025-26.
• Collaboration: Strong collaboration with stakeholders is key to future success.

Strategic Importance:

• Hinterland Coverage:
  • Primary: Nepal, North AP, Odisha, Chhattisgarh
  • Secondary: Central AP, Telangana, Bihar, Jharkhand, Nagpur
  • Tertiary: Kanpur, NCR
• Connectivity:
  • Exclusive Port-Road Connectivity: Direct access to NH16 and the Golden Quadrilateral.
  • Upcoming Infrastructure:
    • Raipur–Visakhapatnam Expressway
    • 6-lane Visakhapatnam Economic Corridor
    • Greenfield project for a 464-km stretch
  • Established Rail Connectivity: Terminal to East Coast

Global Hub Initiatives:

• VCT as Global Transshipment Hub:
  • Organizing trade meets across India and Nepal to attract cargo.
  • Building a strong ecosystem with customs and railways.
  • Enhancing seamless road and rail connectivity.

Conclusion:

The Container Port Performance Index (CPPI), developed by the World Bank and S&P Global Market Intelligence, measures the resilience, efficiency, and overall performance of ports. Visakhapatnam Port’s dramatic rise in ranking showcases its operational excellence and strategic importance in global maritime trade.

Container Port Performance Index (CPPI) Overview

• The Container Port Performance Index (CPPI) is a comprehensive benchmarking tool developed by the World Bank and S&P Global Market Intelligence.
• It assesses the efficiency, resilience, and overall performance of container ports worldwide.

Key Metrics Assessed:

• Moves per Crane Hour: This metric measures the productivity of port cranes in handling containers.
• Turnaround Time (TRT): The average time a ship spends in port from arrival to departure, indicating the port’s operational efficiency.
• Berth Idle Time: The time a berth remains unutilized, which affects the overall efficiency of the port.

Purpose and Significance:

• Global Benchmarking: Provides a global ranking of container ports, highlighting the top-performing ports in terms of operational efficiency.
• Performance Improvement: Ports use the CPPI to identify areas for improvement and enhance their operational practices.
• Investment Decisions: Investors and stakeholders use the CPPI for informed decision-making regarding port investments and development projects.
• Competitiveness: Helps ports enhance their competitiveness by aligning with global best practices and standards.